Illovo holds a 75% shareholding in KILOMBERO SUGAR COMPANY LIMITED with the balance owned by the Government of Tanzania. Kilombero is situated in the Morogoro region in the centre/south of the country, comprising two adjacent agricultural estates and sugar factories, Msolwa and Ruembe, situated on either side of the Great Ruaha River and linked by a low-level bridge. Kilombero annually produces around 130 000 tons of sugar from approximately 1.25 million tons of sugar cane, 55% of which is cultivated by our own cane growing operations and 45% by our growers who continue to benefit from extension support, and training and development provided by the business.

Under the company’s successful “route to market” sugar marketing business model, Kilombero enjoys significant local consumer support for its direct consumption brown sugar sold under the ‘Bwana Sukari’ brand name. Kilombero is one of four sugar producers in Tanzania which, at current production levels of just over 300 000 tons of sugar, is a net importer of sugar. Using raw molasses from the sugar-making process at both factories, the estate also houses a 12-million litre per annum potable alcohol distillery supplying high-quality potable alcohol into the expanding local and East African beverage market, providing strategic diversity for our Tanzanian business.

BUSINESS PROFILE

• Situated in the Morogoro region
• Employs 4 700 permanent and non-permanent people
• Two agricultural estates; two sugar factories treated as one enterprise
• Production of brown sugar and potable alcohol
• Internal electricity generation from renewable resources